Marquis Tseng, the Chinese Ambassador in London and. Paris, has
been recalled, and replaced by the Ambassador hitherto stationed in Berlin, Li-Fong-Pao. It is understood that the instructions of the new Minister are to make peace with France at once, and he has already started for Paris. In Berlin it appears to be considered that peace is made; but that will depend upon the final demands of the French Government. It is quite possible that the Chinese Cabinet is willing to recognise accomplished. facts in Anam, but we do not see how the War Party at Pekin can ventnre to pay an indemnity, or cede any territory directly under its rule. It is quite possible, however, as we have before argued, that M. Jules Ferry made these de- mands only to compel China to abandon the policy of indirect war, and force her either to escape the demand for indemnity by ceding Tonquin, or to declare war openly, and so lose Hainan. M. Ferry's action is very bold, for failure would involve a great war ; but it may succeed.
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